Consumers Give Retailer Smartphone Apps Below Average Scores on iOS and Android According to New Report From Xtreme Labs

First-ever report details best and worst rated retailers with top 100 scoring an average 2.9/5 stars in App Store and 2.2/5 on Google Play

PALO ALTO, Calif. & TORONTO –Xtreme Labs, leaders in mobile application strategy and development, today released a new report that takes a closer look at which retailers have hit the bull’s-eye and which brands are not capitalizing on opportunity with their smartphone applications. The Xtreme Labs Retail Apps Report analyzed public consumer reviews from the Apple App Store and the Google Play Store between January 16 and January 24, 2013 for the top 100 retailers in the U.S.

According to the report, many retailers are missing out on an opportunity to engage with their customers via mobile experiences. A whopping 30 percent of retailers have neither an iOS nor Android app, while 56 percent have an app on both platforms. For retailers with apps on these platforms, consumers rated the top 100 brands an average 2.9/5 stars on iOS and 2.2/5 stars on Google Play.

Those retailers who are ignoring Android are doing so at their own peril; only 61 percent of the top 100 U.S. retailers have launched an Android app. These retailers are missing, for the most part, an opportunity to reach the roughly 62 million Americans who own Android devices. The number is slightly better for iOS, as 65 percent have developed an Apple app. However, based on the number of favorable ratings (3+ stars) each app has in the App Store, only 52 percent have received positive feedback from users.

Some other findings:
· Consumers expect apps to supplement their in-store shopping experience, but many iOS and Android applications are lacking this. Shoppers assume that applications like IKEA and Michaels would allow them to not only browse inventory, but also purchase items directly from the app. The lack of such a feature contributes to negative reviews for many brands.
· One of the biggest consumer complaints for apps across platforms is performance, specifically the frequency of application crashes. Thirty-three percent of users listed this as the top issue on an Android app, while 23 percent listed the same issue for iOS devices.

Interestingly enough, the only two retailers that received favorable ratings across both platforms are the drugstores CVS and Walgreens. These are both ‘utility’ apps that fulfill everyday customer needs, and as such are more likely to be in the coveted position of a device’s home screen. This ‘necessity’ positioning is what all retailers should strive to achieve, as it drives frequency of use and therefore sales.

“When it comes to retail apps, first you have to be there, then you have to work,” said Jeremy Black, director of retail at Xtreme Labs. “We were surprised that 30 percent of top retailers don’t even have an app in at least one of the major app stores. Secondly, when a quarter of all complaints involve app crashes, it should serve as a wakeup call that consumers will quickly go somewhere else, like eBay or Zappos to fill their needs.”

The Xtreme Labs Retail Apps Report was conducted from January 16 to January 24, 2013 and is based on the list of top 100 retailers as defined by industry trade publication STORES Magazine in its list of 2012 retail power players. The report tabulated publicly available ratings in both the Apple App Store and Google Play and listed its results as well as top complaints based on user comments.

About Xtreme Labs

Xtreme Labs is the leading provider of mobile solutions to the world’s most important companies. We have a proven track record of success in delivering innovative solutions across hundreds of global products. As experts in mobile, the best and most successful companies trust Xtreme Labs with critical components of their mobile strategy and product development.
For more information visit Xtremelabs.com